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Malaysia's Bumi Armada Net Profit More Than Doubled in 1st Quarter

KUALA LUMPUR, Malaysia--Malaysian oil-and-gas services company Bumi Armada Bhd. (5210.KU) said net profit for the first quarter more than doubled, mainly because of an impairment charge a year ago and higher shares of results from joint ventures.

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Net profit for the January-March period rose to 48.11 million ringgit ($11.3 million) from MYR23.43 million a year ago, the company said Wednesday in a stock-exchange filing.

However, revenue declined 6.2% to MYR404.17 million from MYR430.77 million on lower offshore-support-vessel utilization, among other factors, according to notes accompanying the filing.

Bumi Armada said it had seen some positive signs in the floating production and operation market as oil companies consider bringing new projects on stream.

Still, the outlook for exploration activities is more unclear, which will likely delay any recovery in the market for offshore support vessels, it said.

Shares of Bumi Armada ended morning trade 1.3% lower at MYR0.735 before the earnings release. The stock has climbed more than 22% year to date.